Indian economy faces $7 billion setback from US
GENEVA: A World Trade Organization (WTO) panel has ruled that Indian export subsidies are prohibited and should be removed, upholding a complaint brought by the United States.
The panel largely agreed with US claims challenging export subsidies granted in the form of exemptions from customs duties and a national tax, while rejecting some US arguments. It called on India to withdraw the export-contingent subsidies within periods varying from 90 to 180 days.
The US Trade Representative’s Office, in a statement, said that the panel had agreed that India provides prohibited subsidies to Indian exporters worth more than $7 billion annually, including to producers of steel products, pharmaceuticals, chemicals, IT products and textiles.